Hakuhodo Dy Holdings Incorporated · TSE:2433
Hakuhodo Dy — Investor Presentation (2020)
13 slides from Hakuhodo Dy's investor presentation, 2020
Slide 1: Greetings from the President on the Medium-Term Business Plan progress
Greetings, I am Masayuki Mizushima, Representative Director & President of Hakuhodo DY Holdings Inc. Please allow me to provide an explanation on the progress we are making under the Hakuhodo DY Group’s Medium-Term Business Plan.
Slide 2: Core Medium-Term Strategy and targets
In May of last year, the Group launched its five-year Medium-Term Business Plan, which will run through FY2023. Our Core Medium-Term Strategy is listed here on this slide. We established a plan to expand operating income before amortization of goodwill to ¥95.0 billion. To that end, we are strengthe
Slide 3: Revenue and operating income status
First, let me explain the status of revenue. Growth in the domestic advertising market, our main area of operations, was stagnant, falling below the level of growth in the previous fiscal year. Amid this environment, we realized steady growth centered on our existing operating companies in Japan, ow
Slide 4: Operating income before goodwill amortization and ROE
Next, I would like to talk about operating income before amortization of goodwill (including the impact of Mercari, Inc. and all other investment projects), which is a Medium-Term Business Plan Target. Operating income before amortization of goodwill saw a double-digit decline of 11.1% year on year,
Slide 5: Main measures for the three fundamentals for growth
Continuing on, I will explain, in order, the main measures for strengthening structures and response capabilities centered on the Medium-Term Business Plan’s three fundamentals for growth. Please see the next slide. 4
Slide 6: First fundamental: leading position in the broader digital domain
The first fundamental for growth I will talk about is “establish a leading position in the broader digital domain.” While this is the same slide we used within the materials we released when announcing our Medium-Term Business Plan in May of last year, in the broader digital domain we are primarily
Slide 7: Progress in Internet media domain
For the progress we are making in the broader digital domain, I would first like to talk about the domain of Internet media, which has continued to grow. Within this domain, we achieved nearly double-digit growth in billings compared with the previous fiscal year, up 9.6%. This growth was the result
Slide 8: Second fundamental: borderless corporate activities
Next, allow me to explain the second fundamental for growth, “strengthen response capabilities for borderless corporate activities.” Over the medium term, we have adopted the following measures. First, we will respond to our clients’ global shift by strengthening uniform management of Japanese and i
Slide 9: Progress in overseas revenue
As for the progress we are making with overseas revenue, which I just spoke about, we realized a 6.2% increase in overseas revenue year on year. This was the result of the incorporation of profits over the course of a full year from companies acquired during the previous fiscal year as well as the p
Slide 10: Third fundamental: innovation through external collaborations
Now let us move on to the third fundamental for growth, “accelerate innovation through external collaborations.” To spur innovation in the completely digitalized era, in addition to the strengths we possess, it is essential that we collaborate with external corporations, such as our business partner
Slide 11: Enhancing structures for collaboration
From the perspective of enhancing structures for collaboration, as you can see on this slide, we have formed and are working to strengthen organizations that will serve as the starting point for new business and service creation, thereby accelerating collaboration with external companies. Additional
Slide 12: Strengthening specialized functions in Japan
Finally, I will comment on “strengthen specialized functions in Japan.” In October 2019, Daiko Advertising Inc. carried out a corporate split in which it established a separate company, DAIKO WEDO creative & development inc, that handles Daiko’s production and casting functions in the creative and p
Slide 13: Closing remarks
This concludes my explanation of the progress we are making with the Medium-Term Business Plan. Please let me say a few words in closing. The spread of COVID-19 has struck a major blow to people’s lives, the activities of corporations, and the economies in Japan and overseas. As a result, society no